A $3.11 million upgrade of Mount Beauty airport can go ahead after the revised concept design received funding approval.
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Alpine Council acting chief executive Will Jeremy said the council and the federal government's regional airports program would each contribute 50 per cent of the total cost.
The project had been reviewed in recent months to ensure the design met the needs of users and the community.
"The revised concept retains the current status of the facility as an aircraft landing area but provides for up to an extra 600 metres of sealed runway length and a widening from 10 metres to 18 metres," Mr Jeremy said.
"Significant drainage works and fencing will also be included."
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The final detailed design will include flood modelling to assess the lengthened runway's impact on the Kiewa River floodplain.
"Mitigation measures may be required," Mr Jeremy said.
"Because of this requirement, the final detailed design is likely to be completed in May next year.
"The closure and transfer of the unused Government road currently bisecting the airport land will progress at the same time as detailed design procurement and development."
The council expects construction to begin in the second half of 2021, with the runway completed by late March 2022.
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